IV 

113TH CONGRESS 

2D SESSION H. RES. 643 

Calling for further defense against the People’s Republic of China’s statesponsored cyber-enabled theft of trade secrets, including by the People’s 

Liberation Army. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 25, 2014 

Mr. CHABOT (for himself, Mr. BERA of California, Mr. COHEN, Mr. COLLINS

of Georgia, and Mr. CONNOLLY) submitted the following resolution; which 

was referred to the Committee on the Judiciary, and in addition to the 

Select Committee on Intelligence (Permanent Select), Armed Services, 

Ways and Means, and Foreign Affairs, for a period to be subsequently 

determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned 

RESOLUTION 

Calling for further defense against the People’s Republic 

of China’s state-sponsored cyber-enabled theft of trade 

secrets, including by the People’s Liberation Army. 

Whereas the People’s Republic of China (PRC) has been labeled by the United States Office of the National Counterintelligence Executive as the world’s most active and 

persistent perpetrator of economic espionage; 

Whereas the Permanent Select Committee on Intelligence of 

the House of Representatives investigated the PRC’s 

major telecommunications companies and concluded in a 

bipartisan report released October 2012 that Chinese 


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•HRES 643 IH 

businesses Huawei Technologies’ and ZTE Incorporated’s 

provision of equipment to United States critical infrastructure could undermine core United States national 

security interests; 

Whereas in February 2013, the President issued the Administration’s Strategy on Mitigating the Theft of United 

States Trade Secrets and stated, ‘‘We cannot look back 

years from now and wonder why we did nothing in the 

face of real threats to our security and economy.’’; 

Whereas Mandiant, a United States cybersecurity firm, reported in February 2013 that a cyber-hacking group it 

labels as Advanced Persistent Threat 1 (APT1) is based 

in the PRC and is likely government-sponsored; 

Whereas Mandiant found that APT1 is known as Unit 61398 

and is the 2nd Bureau of the 3rd Department of the 

General Staff Department of the People’s Liberation 

Army (PLA) under the Communist Party of China; 

Whereas Mandiant warned that APT1 is only one of more 

than 20 Advanced Persistent Threat groups originating 

in the PRC; 

Whereas Mandiant concluded that APT1 has conducted a 

cyber espionage campaign since at least 2006, whereas 

since that time, APT1 systematically stole hundreds of 

terabytes of data from at least 141 companies in 20 

major industries; 

Whereas Mandiant detailed that APT1 focuses on compromising organizations in a broad range of industries in 

English-speaking countries and maintains an extensive 

infrastructure of computer systems around the world; 

Whereas Director of National Intelligence James Clapper reported to Congress in March 2013 that the PRC remains 


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•HRES 643 IH 

one of the most capable and persistent intelligence 

threats; 

Whereas in May 2013, the Secretary of Defense reported to 

Congress in a report entitled ‘‘Military and Security Developments Involving the People’s Republic of China’’ 

that in 2012, numerous computer systems around the 

world, including those owned by the United States Government, were targeted for intrusions, some of which 

were attributable directly to the Government and military 

of the PRC; 

Whereas the Secretary of Defense asserted that these intrusions carried out by the PRC were focused on exfiltrating 

information through computer network exploitation 

(CNE) capabilities to support state-sponsored intelligence 

collection of United States national defense programs; 

Whereas Director of National Intelligence James Clapper reported to Congress in January 2014 that China seeks to 

revise the multi-stakeholder model of Internet governance 

while continuing its expansive worldwide program of network exploitation and intellectual property theft; 

Whereas Attorney General Eric Holder announced on May 

19, 2014, an indictment against five hackers affiliated 

with the PLA for serious cyber economic espionage that 

victimized United States entities and stole trade secrets; 

Whereas these five hackers were identified as part of Unit 

61398 of the PLA; 

Whereas the indictment detailed the threat from Unit 61398 

of the PLA based in Shanghai in the PRC; and 

Whereas this indictment was the first time charges were 

brought against state actors for cyber infiltration of 

United States commercial entities: Now, therefore, be it; 


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1 Resolved, That the House of Representatives— 

2 (1) calls on the President to aggressively imple3 ment and coordinate the Strategy on Mitigating the 

4 Theft of United States Trade Secrets; 

5 (2) calls on the PRC to end the practice of 

6 cyber-enabled espionage against United States firms 

7 and individuals and to cooperate in cyber security ef8 forts with the United States; 

9 (3) calls on the Department of Justice to con10 tinue to advance investigations into cyber espionage 

11 by actors originating in the PRC; 

12 (4) calls on the United States Government to 

13 continue to condemn cyber-enabled espionage for the 

14 purposes of stealing intellectual property and trade 

15 secrets, pursue counter intelligence capacities, and 

16 prosecute such individuals should they enter United 

17 States territory; 

18 (5) calls on the United States Trade Represent19 ative to estimate the loss from cyber theft, compile 

20 a list of actors that cause the most damage to 

21 United States firms by intellectual property rights 

22 theft and pursue a dispute settlement case at the 

23 World Trade Organization; 

24 (6) calls on the United States Office of the Na25 tional Counterintelligence Executive to update the 


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1 unclassified report to Congress on Foreign Economic 

2 Collection and Industrial Espionage in 2009–2011 

3 with information that includes the cyber threat from 

4 the People’s Republic of China against United 

5 States companies and critical infrastructure; 

6 (7) calls on the Department of Defense to re7 strict military-to-military contacts with the PLA in 

8 compliance with United States laws, including the 

9 National Defense Authorization Act for Fiscal Year 

10 2000 (Public Law 106–65); 

11 (8) calls on the Federal Bureau of Investigation 

12 and the Department of Homeland Security to ex13 pand warnings to United States companies about 

14 the broad scope of tools to illicit trade secrets used 

15 by actors originating in the PRC, including cyber 

16 theft, physical trespass of the factories or other fa17 cilities of United States firms, intrusion of com18 puters, and use of Universal Serial Bus (USB) 

19 drives, money, travel, gifts, promises of employment, 

20 and social media; 

21 (9) calls on the Department of Defense and the 

22 Department of State to provide briefings of the 

23 United States-China cyber-security working group 

24 meetings in 2013; and 


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1 (10) calls on Federal departments and agencies 

2 to expand cooperation with allies and partners to 

3 better coordinate defense against cyber threats. 

Æ 


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